I feel like industrial designers looked at Apple in the early 2000's with how well their touchscreens went, and just lost any sense of logic or sensibility. Everything had to be touchscreen, with no thought or reason put into why phones in particular needed touch screens.
Buttons meant there was less space for a screen. They couldn't make the display any bigger, or the buttons any smaller, so an innovation was needed. It's a unique device; the input is as important as the output. Designers don't seem to understand that.
A car has more space to put button and knobs than a mobile phone ever will. Not only that, while the output to the user required is minimal, but the input is critical. I need an input that is as easy and clear to activate as possible. All I need in response is a noise or light to tell me that the feature is active. A touch display might give me more visual feedback, but that is not the important factor!
Don't even get me started on capacitive touch buttons...